Question
A company purchased a machine for $300,000. The estimated useful life is 8 years and is expected to produce 520,000 units, with a salvage value
A company purchased a machine for $300,000. The estimated useful life is 8 years and is expected to produce 520,000 units, with a salvage value of $40,000. During the machine's 8-year life it produced the following units: Y1 115,000 units; Y2 98,000 units; Y3 85,000 units; Y4 65,000 units; Y5 45,000 units, Y6 40,000 units. Y7 42,000 units and Y8 30,000 units.
Enter answers WITHOUT commas and dollar signs, only use decimals for UOP Depreciation Rate per unit.
Using the Straight-Line Method of Depreciation what is the Depreciation Expense for Year 5?
Using the Units of Production Method of Depreciation, what is the depreciation rate per unit for the machine?
Using the Units of Production Method of Depreciation, what will the Book Value at the end of Year 8 be?
Using the Double Declining Balance Method of Depreciation, what is the Book Value after the first year of depreciation has been taken?
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